The Durbin-Watson statistic is used to analyze
A) Multicollinearity
B) Homoscedasticity
C) Autocorrelation
D) Variance inflation

Question

Quizplus · Accepted Answer

The Durbin-Watson statistic is used to detect autocorrelation in the residuals of a regression model. It measures the degree of correlation between successive residuals. A value close to 2 indicates no autocorrelation, while a value significantly above or below 2 indicates positive or negative autocorrelation, respectively. Therefore, option C is the correct choice. Options A, B, and D are incorrect, as they relate to other aspects of regression analysis, namely multicollinearity, homoscedasticity, and variance inflation.

The Durbin-Watson Statistic Is Used to Analyze